Curve Finance is a decentralized cryptocurrency exchange (DEX). It runs as an automated market maker (AMM) on the Ethereum blockchain. The Curve Finance crypto exchange offers liquidity pools for token swapping.
The platform is a decentralized liquidity aggregator and is run as a DAO. While there are no regional restrictions, users from countries sanctioned by the USA, such as Syria, Iran, and Belarus, may be geo-blocked.
As a decentralized exchange, Curve differs from centralized platforms like Binance. There is no Curve Finance spot market in the traditional sense since the platform uses liquidity pools rather than digital order books. Margin or leverage trading is not supported. There are more than 150 Curve pools available.
All trades are conducted by matching liquidity. All users are able to inject liquidity into the pools and provide backing for the listed assets. It’s possible to withdraw liquidity if the user wants to stop contributing to the pool. Overall, there are more than 40 Curve Finance trading pairs.
By design, the platform has focused primarily on trading stablecoins. However, standard and wrapped tokens are also supported. The liquidity pools are ranked based on the Curve Finance volume and the total value locked (TVL). Users can also see the total pool deposits and daily volume performance.
The Curve Finance cryptocurrency exchange has a native asset, the Curve DAO Token (CRV). The tokens can be used for network governance or be locked to earn passive income. You can learn more about the Curve crypto price and market performance by clicking here.
Curve Finance exchange fees are determined by a governance vote. All liquidity pools are subject to a fixed fee of 0.04%. Half of this sum goes towards the liquidity providers, while the other half is distributed among the DAO members. The fee rate is subject to change by a DAO vote.
Curve Factory is a tool that enables users to create their own liquidity pools. They can adjust parameters, such as asset types and pool types, and select which tokens will be used for liquidity. The Curve finance crypto fees for gas priority are determined by the pool criteria. Creators must have enough tokens to back the liquidity.
Staking is supported on the Curve Finance crypto exchange and is done by using CRV tokens. Additionally, users can lock CRV for votes and directly participate in the Curve governing processes.
About the Company
Curve Finance was launched by Michael Egorov in January 2020. Curve.fi DAO, the decentralized autonomous organization for the Curve crypto exchange, was founded in August of the same year. The company headquarters are based in Switzerland.
In September 2020, a month after the DAO launched, Curve was the fastest-growing decentralized exchange on a monthly basis. It was reported that the Curve trade volume increased by 128% between August and September. By November, it was considered the sixth-largest DeFi protocol.
In addition to the Curve Finance crypto exchange on the Ethereum network, the platform can also be accessed on several other blockchains, including Arbitrum, Optimism, and Polygon. The first cross-chain was launched on Polkadot in February 2021.
In January 2022, it was reported that the Curve Finance volume reached its all-time high at the time, peaking at $3.2 billion. Two years after its launch, it grew to be the biggest DeFi protocol in the industry, and its total value locked surpassed $20 billion.
In August 2022, Curve Finance was compromised. During the attack, hackers gained access to the platform funds. The stolen Curve crypto price was valued at around $570,000. The hack was later reverted, and the funds were recovered within days.
Michael Egorov is the CEO of the Curve Finance cryptocurrency exchange. He’s a software engineer with former experience working at LinkedIn. He also co-founded the encryption company NuCypher. Egorov was heavily criticized for acquiring 71% of the CRV supply, giving himself the majority power within the DAO structure.